You will need to use either a loop or a list/generator comprehension. If you want to lowercase all the keys and values, you can do this::
dict((k.lower(), v.lower()) for k,v in {'My Key':'My Value'}.iteritems())
If you want to lowercase just the keys, you can do this::
dict((k.lower(), v) for k,v in {'My Key':'My Value'}.iteritems())
Generator expressions (used above) are often useful in building dictionaries; I use them all the time. All the expressivity of a loop comprehension with none of the memory overhead.
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